On the flip side there are many indicators that prices could continue to fall. The bank held "Shadow" inventory is still on the rise and these homes will certainly hurt prices for sellers.
That said I believe solid advice would be to be actively looking now and if you find your dream home grab it up. I am making the assumption that this is a long-term hold purchase and not a flip. Get with a good mortgage person that will update you once a week and give you some long-term forecasting. A sudden jump in rates could hurt more than if prices dropped a bit after you made a purchase.
Waiting until 2011 could be risky by some "experts" predictions. Many economists have anticipated a rise in pricing in 2011. I think a purchase in late 2010 or early 2011 before the next summer rush could be a good call.
I have a great article on the 2011 forecast by economists. Contact me direct and I will email it to you.
This does not mean that homes going on the market at $713,000 are selling for $680,000. It actually means that homes at the lower end of the spectrum are selling before the higher end homes are. The high end of the market is still quite soft, and there is not a lot of movement in homes over 3,500 square feet.
Average price per square foot has dropped marginally in the past few months compared to a high of $304 in February, 2010. Pendings and solds are down as well, and inventory has risen sharply. Average DOM (days on the market) is currently 23; this may rise now that we have fewer buyers (since the expiration of the tax credit) and increased inventory.
If we look at the bottom of the market (single family homes 1,500 sq. ft. or smaller), then the opposite is true: list prices are increasing and average sales prices are down to an average of $410,000. Price per square foot is also decreasing slightly. As Iâ€™ve explained in the past in other posts, when both price per square foot AND average selling price are moving down, then we are migrating towards a buyerâ€™s market.
Since the majority of buyers affected by the tax credit were in this lower bracket, itâ€™s no surprise that we should now see this segment of the market beginning to trend downwards. However, nice, well price properties are still getting snapped up almost the moment they hit the market.
Is this a good time to buy?
Depends. What type of home are you looking for? Where in Dublin? Stats vary from neighborhood to neighborhood and between types of property. Dublin Ranch is holding its own, while some of the older neighborhoods are softening a bit. Weâ€™re still not sure where this will sort itself out â€“ July data will not be out until August 8th or so â€“ weâ€™ll have a better idea by then.
Bottom line, weâ€™re not seeing as many multiple offers as we used to, and we are seeing more regular sales enter the market as opposed to short sales and REOs.
Is this a good time to buy? TOTALLY depends on your criteria and motivation for buying.
I can send you the comprehensive data in graphical form in you wish.
This is a great time to buy. Prices are low, interest rates are lower than the peak of the boom. The only thing that is going to change in the short run is inventory levels which, as others have said, are at all time lows. If you are buying for the long term (10 year timeframe) find a reputable realtor, choose a home and buy below your financially afforable range.
And it is probably a good time for you to make a move.
Dublin continues expansion mode with new construction. The schools on the East side are very good and the high school was just named to the list of top public high schools in the nation according to Newsweek (only 6% of the schools nation wide make the cut). See article here http://bit.ly/topHS
While I can't tell you where prices will end, there is stronger and stronger support for home price increases in the Dublin area. For a full archive of Dublin Area real estate market updates, visit the link below in web references.
Vickie Nagy, CA DRE#01363932, Keller Williams Realty
Rolling Hills Realty
1. Interest rates are terrific. They may not go up tomorrow, but they can't go much lower.
2. Inventory in Dublin is very low, so I don't see any reason to think prices will go down anytime soon. Still lots of buyers out there.
3. In the past, the schools in Dublin did not have a good reputation. Now the word is starting to spread that the school have become very good, and you can still get more house for your money compared to San Ramon or Pleasanton.
So why wait?
If you need any other help, you have to but ask me.